Shippit Intelligence Targets $18B Delivery Gap in Retail Sector
A decade of delivery reality becomes Shippit Intelligence: turning billions of outcomes into retail’s new advantage
In a move set to transform the ANZ retail landscape: Shippit is democratising access to its proprietary AI operating system, Shippit Intelligence, giving retailers the same world-class logistics capabilities that have made global leaders like Amazon the gold standard for delivery and post purchase experience.
Shippit Intelligence addresses a critical challenge facing the industry: the “silent killer” of lost sales and market share caused by the logistics gap between local retailers and global giants.
Trained on more than a decade of real-world outcomes and billions of parcel movements, the platform levels the playing field, giving retailers the tools and insights to compete with confidence.
The numbers are stark: almost nine out of ten Australians abandon their carts before checkout, costing retailers more than $18 billion in lost sales annually. The driver isn’t price or product, but a lack of clear and flexible delivery options at checkout.
Shoppers expect choice - whether that’s faster, cheaper, or timed delivery, and when those options aren’t there, they click away. Compounding the issue, unreliable delivery erodes trust and repeat business, further damaging long-term growth.
This disconnect continues because, while parcels arrive on average in just 1.7 days, retailers typically advertise a much longer delivery window of 5.2 days at checkout. The result is a trust deficit that drives customers away.
Global leaders like Amazon have set the benchmark by investing heavily in logistics infrastructure and customer experience. Their advantage lies not only in scale but also in the precision and reliability of their delivery systems - capabilities long out of reach for local retailers. Shippit Intelligence closes this gap by providing retailers with access to the same intelligence and tools to compete confidently.
“Delivery is the new battleground of retail,” said Rob Hango-Zada, Co-Founder and Joint CEO of Shippit. “Too often, retailers spend big to win customers, only to lose them at checkout. Shippit Intelligence flips that by making logistics a true competitive advantage. We’ve already seen the results with Petbarn, where customers who choose on-demand delivery spend 3.5 times more and shop 35% more often. When retailers treat delivery as a growth driver, not a cost centre, that’s when they get ahead.”
Shippit Intelligence operates across four critical stages:
Planning with Foresight (AI-Powered Simulation): By analysing carrier performance and delivery data against available capacity, Shippit helps retailers simulate scenarios, optimise carrier mix, and reduce costly fulfilment errors during peak or complex periods.
Promising with Precision (AI-precise Delivery Estimates) Using intelligence data based on millions of real deliveries, Shippit’s AI provides hyper-accurate Estimated Delivery Dates (EDDs) at checkout. This transparency has been proven to lift conversions by up to 9%, and when compounded at scale, has the potential to unlock millions in extra revenue for retailers.
Orchestrating with Efficiency (Dynamic Route Optimisation): Powered by Shippit NowGo, dispatchers can re-optimise routes in real time, handling complex delivery scenarios with ease while processing massive volumes of data, such as vehicle types, capacities, priorities, and delivery windows. The result: 15% improvement on fleet utilisation, higher on-time delivery rates, and the elimination of wasted complexity.
Delivering with Confidence (Agentic AI): Shippit Intelligence uses AI agents to resolve “where is my order?” queries instantly, at scale, and 24/7. This reduces WISMO volumes, removes the burden from service teams, and lowers support costs. Just as importantly, faster resolutions strengthen shopper trust and turn delivery from a weak point in the journey into a competitive advantage.
For more information, visit: https://www.shippit.com/shippit-intelligence-ai
